The Dubai International Financial Center (DIFC), the leading financial center in the Middle East, Africa and South Asia, continued to lead the future of the financial sector in the region during the first half of this year, with progress in terms of its “strategic priorities 2024” and reaching the highest rate of company registration in light of its continued work with His partners to bypass the consequences of the Covid-19 pandemic crisis and get out stronger.
The financial center revealed that 310 new companies joined its lists during the first six months of this year, an increase of 25% compared to the same period last year, bringing the number of active companies in the center to 2,584 companies, in a major achievement at a time when the world is suffering from the repercussions of a pandemic crisis as a benefit 19- This achievement comes as the financial sector and the relevant innovative sectors continue to place their trust in Dubai as the leading financial center and the preferred financial technology center in the Middle East, Africa and South Asia.
On this occasion, His Highness Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai and President of the Dubai International Financial Center, stressed that "the Center's ability to continue growth, despite the challenges arising from the Covid-19 epidemic that swept the world and left serious negative effects on its largest economies, A new global testimony on the solid foundation on which the Dubai International Financial Center is based, and a clear demonstration that it has the tools and ingredients that guarantee its readiness to face various conditions, and enables it to stand firm in the face of crises, based on the firm foundations laid by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Deputy The President of the State, Prime Minister and Ruler of Dubai, may God preserve him, to ensure the stability of the economic system in Dubai, and the principles that His Highness laid down for the Center and made him a partner that enjoys the trust and respect of major international financial and economic institutions.
His Highness added: “Since its inception, the Dubai International Financial Center has invested in strengthening its partnership with the financial and business community in the region and the world, and has worked very hard to provide constructive solutions that enable them to continue their business and pursue their goals, even in the most difficult circumstances, thanks to a highly efficient and reliable infrastructure, frameworks Legislative, sophisticated and highly flexible designed to take into account the interests of partners and support their business in accordance with international best practices, and a strong fence of good governance that protects the rights of all institutions working in it, and helps it to start its business in the best way. "
On the requirements of the current stage and future aspirations of the Dubai International Financial Center, His Highness said: "We will continue dialogue and work with all our partners of all sizes of their business to monitor and provide more innovative solutions to overcome all difficulties, confirming the role of the center as a major hub for financial activities in the region, and to complete the success path that has reached Through it to occupy a high position among the top 10 financial centers in the world. "
Two records
The Dubai International Financial Center continued to achieve growth in the first half of this year, with a monthly average of companies registering at 52 companies, and two records in the average company registration at 66 companies in March and 88 companies in June, where the financial center today is home to Of 820 financial companies, an increase of 22% compared to the same period last year and an increase of 11% compared to fiscal year 2019.
Reflecting the focus of the Dubai International Financial Center on innovation and technology, financial technology companies continued to establish their position as a key factor for growth, with 87 companies specializing in financial technology joined the system of innovation and distinct technology in the center, increasing the number of registered and licensed financial technology companies by 74% compared to the first half From the year 2019.
The financial center witnessed the joining of a number of prominent financial services companies, including Tata Asset Management, Samba Financial Group, "Gazprom Bank", "Vending Market", "Brookfield Private Capital" and "Decimel Factor Middle East", while establishing Ripple and Kovacs Middle East Limited have new offices in the center.
The financial center had launched integrated incentive packages to support companies from customers during the Covid 19 crisis, in line with the programs and initiatives of the Dubai government in this framework.
Dubai International Financial Center Governor Issa Kazim said: "We will continue to play a major role in contributing to the strengthening of the economy as we enter a new stage of digital transformation and work within the" emerging natural situation ", where we will confirm the continuation of the future approach to ensure the formulation of the future of the financial sector and attract international companies Leading and promising startups and best talent. "
On his part, Aref Amiri, CEO of the DIFC Authority, said: "During the first six months of this year, the DIFC continued to grow towards achieving the goals of 2024, where the focus remains on consolidating the reputation of the center between the best global financial centers and the best financial technology centers And innovation, we succeeded during the first half of the year in recording record performance at the level of company registration over a period of two months, which was achieved along with the support of companies from customers during the Covid-19 crisis, whom we thank for their confidence placed in Dubai and the financial center. "
Financial technology is in the lead
The first half of 2020 witnessed the increase in the size of the financial technology accelerator "Fintech Hive" in the financial center three times with the opening of new and large spaces in "Avenue Gate" to support startups and entrepreneurs, which enhance the center's vital system and provide companies with easy access to financing, training and sharing experiences And cooperation with the world's leading financial companies.
The growth of the financial technology companies sector enhances the reputation of the center among the best developed financial centers in the world, and confirms Dubai's position as the best financial innovation laboratory according to the classification of "Global Finance" magazine.
The financial center set a record number of requests for participation in the fourth installment of the Financial Technology Accelerator, "Fintech Hive", where in 2020 the program received more than 600 applications from emerging companies operating in the sectors of regulatory technology, Islamic financial technology, insurance technology and various technology sectors Finance, up 46% from a year ago. 10 startups were also selected to participate in the second batch of "Startup Boat Camp" for 2020, while 16 companies were accepted to join the "Innovation Test License" program.
The Financial Center offers three different programs to support startups in various stages, which are "Financial Technology Accelerator Program", "Vintage Hive Skill Up" and "Startup Boat Camp".
Investing in pioneers of the future
The financial center continued to enhance its offerings to startups by injecting new investments into four emerging companies specializing in the financial technology sector: FlexxPay, Go Rise, NOW Money, and Sarwa. , As these investments are part of the total value of the $ 100 million financial technology fund, which was launched in 2019 to establish, develop and support the growth of financial technology companies.
Strengthening legal and regulatory frameworks
Work is continuing to develop the legislative environment for the Dubai International Financial Center to support the business of its partners. In January 2020, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE, in his capacity as Ruler of Dubai, issued the Dubai International Financial Center Law No. (1) For the year 2020 regarding rents in the center, with the aim of raising the fundamentals of the real estate market within the limits of the authority of the center, and affirming the center's commitment to providing an integrated regulatory and legal framework consistent with the highest international standards and practices.
In June 2020, His Highness Sheikh Mohammed bin Rashid Al Maktoum adopted the Data Protection Law No. (5) for the year 2020 for the Dubai International Financial Center, including provisions on developing the current data protection system for the Dubai International Financial Center, which is considered one of the most advanced systems in the region. The new law came into effect as of July 1, in order to develop the current data protection system in accordance with the principles of the General Data Protection Regulation (GDPR). This law also adopts the best practices in force in a variety of international laws specialized in data protection.
Likewise, the DIFC Authority Board of Directors issued new regulations to protect data that define reporting and reporting procedures to the person responsible for data protection, accountability, record-keeping, fines and jurisdictions appropriate for sharing and transferring personal data and included new changes in the law, clauses to legislate procedures for accountability of observers The data processors through the requirements of compliance programs, in addition to appointing data protection officials when necessary, which enhances the position of the Dubai International Financial Center as a center that adopts a future planning approach in the financial sector, while data protection is a top priority for the center.
World-class features of the center's staff
In February 2020, the Dubai International Financial Center began implementing its plan for employee savings in the workplace, which includes the financial future for employees of companies based in the center, with the aim of restructuring the current system of benefits and end-of-service benefits into a specialized, managed and funded savings plan, and a list To make specific contributions. The percentage of employees affiliated with the plan by the end of June 2020 was more than 93%, with a total of more than 17 thousand employees [MA1], where the value of the assets under the management of the plan exceeded $ 52 million during the first three months of the plan.
The DIFC signed a memorandum of understanding with "AC3 Brokerage Company Limited" to launch a comprehensive health insurance document at the level of companies registered with the center and its employees, which gives the possibility of all companies in the center joining the program at unified rates, in exchange for each of them being classified and evaluated The risks are individual. The policy aims to facilitate the purchase of cost-effective health insurance for companies registered and operating in the center.
Institutional support
In light of the economic stimulus package launched by the Dubai government, the Dubai International Financial Center has launched a series of financial incentives that extended from April 1 to June 30, 2020, to meet the implications of the spread of the Corona virus. The stimulus package included five initiatives that were implemented on conditional terms and provided companies and businesses in the financial center with exemptions to the annual licensing fees for new registered companies. The Center also allowed to postpone the payments due on the leased properties belonging to the company "DIFC Investment", and the financial center has facilitated the transfer of employees between jobs, whether available in the center or those who wish to move to other free zones in the event that the necessary arrangements and contracts are available for the employees of the companies concerned .
The DIFC also announced the launch of a new special package to support retailers and retailers within the center, which includes the exemption of retailers of all classes present in the buildings owned by the DIFC in “Gate Avenue”, “Gate Village” and “neighborhood” The portal "is from the basic rental value for 3 months, which reflects the center's efforts to reduce the consequences of the Corona virus on the tenants and the business community at the center.
During April 2020, the Financial Center revealed a set of new regulatory measures to protect companies and employees and enable companies based in the Dubai International Financial Center to implement emergency measures against their employees during the spread of the Corona pandemic to deal with its effects quickly.
Consolidating relationships to develop talent
The Dubai International Financial Center continues to consolidate its relationships with international and international institutions to provide professional and academic development to its business community, and partnerships include a partnership with the Chartered Securities and Investment Institute, the largest global institute specializing in insurance training, to develop competencies that have expertise and knowledge in the insurance sector and Local insurance and in line with global best practices, partnerships with the leading professional body for securities, investment, wealth, financial planning and the International Compliance Association, the leading professional body for the global regulatory and financial crime compliance community, as well as agreements concluded by the financial center with 27 leading educational institutions or Governmental entity.
A vibrant community
The financial center maintains its leading position as an attractive destination for doing business, work and lifestyle experiences, and is home to a vibrant business and entertainment community that features retail stores and the most well-known restaurants in the world, as well as residential options and five-star hotels. During the first half of this year, the financial center also received a number of new restaurants and cafes, including "Si La V", "Shanghai Mei", and "Hotong" restaurant and bar. The new food market "South Market" has been opened, which includes more than 15 rich and diverse cuisines from around the world.
The Dubai International Financial Center is distinguished by its interest and support for artistic and cultural activities and works that constitute an important aspect of the activity of the center in which there are seven art galleries, while the center worked with a number of them during the past months to provide virtual tours to the audience of art lovers, which received a great response from them and an appreciation of the idea that enabled them To stay close to the field of creativity.